It touched record low on Thursday at 73.82 against the dollar.
The rupee hits new low of 73.77 by plunging 43 paise against United States dollar on Thursday.
Emerging currencies including the rupee bore the brunt during the day as investors shifted funds from riskier assets to safe bets like the U.S. dollar.
On Thursday, the USA dollar touched 1.3828 against the Singapore dollar, its highest since Jul 11 a year ago.
"Fuel and gas prices are on fire and markets are scurrying".
So far this year, the rupee has declined 13.2%, while foreign investors have sold $2.44 billion and $7.26 billion in the equity and debt markets, respectively.
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Kavanaugh's confirmation hinges on a handful of key Republican and Democratic senators who have not yet fully tipped their votes. Trump said that the Democrats opposed to Kavanaugh's nomination are "evil people" who are out to 'destroy people'.
To stem the rupee fall, the RBI on Wednesday allowed oil companies to access foreign capital of Dollars 10 billion on a long-term basis to finance their working capital requirements. It came down to Dollars 17.4 billion in August.
The government Thursday announced a Rs 1.5 per litre cut in excise duty which would result in a revenue loss of Rs 10,500 crore in the current fiscal.
A rally in crude oil prices is expected to put more pressure on the rupee and it may send it near the 74-mark, said analyst Bhaskar Panda.
With the rupee plunging to a historic low, the government and the RBI swung into action to slow down a further fall of the battered Indian currency as global economic conditions continued to deteriorate and fears of higher inflation increased.
Bank of America Merrill Lynch in a report explained that pre-committing United States dollars 8 billion a month for it over and above the USD 25-30 billion lost in interventions since April will push the overall forex reserves below the critical eight-month import cover mark.
Meanwhile, Commerce and Industry Minister Suresh Prabhu will chair an inter-ministerial meeting today to discuss the depreciating rupee and widening trade deficit, an official said. The pound sterling was pegged at 95.3904 and Japanese yen at 64.49 for 100 rupees.